Document Content

DECREE No. 24/1999/ND-CP OF APRIL 16, 1999 PROMULGATING THE REGULATION ON ORGANIZING THE MOBILIZATION, MANAGEMENT AND USE OF PEOPLE�S VOLUNTARY CONTRIBUTIONS FOR THE CONSTRUCTION OF INFRASTRUCTURE OF COMMUNES AND DISTRICT TOWNSHIPS

THE GOVERNMENT

Pursuant to the Law on Organization of the Government of September 30, 1992;

Pursuant to the State Budget Law of March 20, 1996; and Law No.06/1998/QH10 of May 20, 1998 Amending and Supplementing a Number of Articles of the State Budget Law;

After consulting the Vietnam Fatherland Front�s Central Committee;

At the proposal of the Minister of Finance,

DECREES:

Article 1.- To issue together with this Decree the Regulation on organizing the mobilization, management and use of people�s voluntary contributions for the construction of infrastructure of communes and district townships.

Article 2.- This Decree takes effect 15 days after its signing.

Article 3.- The Minister of Finance shall guide the implementation of this Decree.

Article 4.- The ministers, the heads of the ministerial-level agencies, the heads of the agencies attached to the Government and the presidents of the People�s Committees of the provinces and centrally-run cities shall have to implement and organize the implementation of this Decree.

On behalf of the Government

Prime Minister

PHAN VAN KHAI

REGULATION ON ORGANIZING THE MOBILIZATION, MANAGEMENT AND USE OF PEOPLE�S VOLUNTARY CONTRIBUTIONS FOR THE CONSTRUCTION OF INFRASTRUCTURE OF COMMUNES AND DISTRICT TOWNSHIPS

(Issued together with Decree No.24/1999/ND-CP of April 16, 1999 of the Government)

Chapter I

GENERAL PROVISIONS

Article 1.- The mobilization of people�s voluntary contributions for investment in the construction of infrastructure of communes and district townships must be discussed and decided by the people on the principle of democracy, publicity and majority vote. The People�s Committees of communes and district townships (hereafter collectively referred to as communes) shall have to organize the mobilization, management and use of people�s voluntary contributions according to this Regulation.

Article 2.- After the commune People�s Council and the majority of people in the locality have decided and agreed on the plan for investment in the construction of infrastructure of the commune, the commune People�s Committee shall have to organize the implementation of such investment plan. The investment plan must conform to the construction, communications and irrigation planning, and meet the requirements of protecting the local landscapes and environment.

Article 3.- People�s voluntary contributions for investment in the construction of communes� infrastructure projects must be used for the right mobilization purposes, ensuring that contributions for which project shall be invested in such project only.

Article 4.- The people�s contribution levels as well as the contribution reduction and exemption for social policy beneficiaries (according to the stipulations of the People�s Council of the province or centrally-run city) shall be discussed by the local people and decided on the basis of their average incomes and contribution capability. These contribution levels must be within the total maximum contribution levels set by the People�s Council of the province or centrally-run city.

Chapter II

ORGANIZING THE COLLECTION, MANAGEMENT AND USE OF PEOPLE�S CONTRIBUTIONS

Article 5.- Sources of mobilization of people�s voluntary contributions shall be used to supplement investment capital for new constructions, upgrading and repair of communal and inter-hamlet infrastructure projects (referred collectively to as communal infrastructure projects), including: projects on power supply, traffic, schools and health stations; cultural and sport projects; system of clean water supply, inter-field canal system and other public-facilities.

Article 6.-

1. When there appears any demand for investment in building, upgrading and/or repairing a communal infrastructure project, the commune People�s Committee shall make the project�s cost estimate and design as well as the related dossiers, then submit them to the district People�s Committee for appraisal. A project dossier shall include:

a/ The total capital demand for project construction and completion, the detailed capital allocation to each project item (if any);

b/ The design and plan on the project implementation timetable;

c/ The plan on and balance of capital sources arranged for the project, including people�s contributions;

d/ The contribution level set for each family household.

2. The commune People�s Committee shall rally people to discuss and decide the project�s cost estimate as well as levels of people�s contributions. The way of organizing people�s discussions shall comply with the provisions of Article 7 of this Regulation.

Article 7.- The mobilization, management and use of people�s voluntary contributions for the construction of communal infrastructures shall be effected by mode of direct discussion and decision by people.

1. The commune People�s Committee shall assume the prime responsibility and coordinate with the Fatherland Front�s Committee, the War Veterans� Association, the Peasants� Association and other mass organizations in rally people for discussions and decision in one of the following forms:

a/ People�s meetings in each village or hamlet to discuss and vote publicly or by ballots, then a record thereof is made and sent to the commune People�s Committee.

b/ Meetings of the heads of family households to discuss and vote publicly or by ballots, then a record is made and sent to the commune People�s Committee.

The above-said meetings shall be held when at least two-thirds of the eligible people (or family households) attend.

c/ If such a meeting cannot be held, inquiry cards shall be distributed to family households to collect their opinions.

2. If the majority of people or family heads agree, the commune People�s Committee shall organize the mobilization of people�s contributions and the people shall have to strictly abide by decisions which have been approved by the majority.

3. Where some family heads do not agree yet, the commune People�s Committee shall have to assume the prime responsibility and coordinate with the local Fatherland Front�s Committee, War Veterans� Association, Peasants� Association and other mass organizations in persuading and explaining the matter to such households so that the latter may voluntarily make contributions according to the agreement reached by the majority of the family heads mentioned in Clause 2 of this Article. If deeming that the majority�s decision fails to conform to laws and the local administration�s regulations, the commune People�s Committee shall propose the district People�s Committee to consider and decide.

Article 8.-

1. The contribution level set for each subject of mobilization shall be calculated by the commune People�s Committee on the basis of:

a/ The total maximum contribution amount set by the People�s Council of the province or centrally-run city.

b/ The average income and contribution capability of the people in the locality.

c/ The demand for capital to be mobilized for the project. The demand for mobilized capital shall be determined on the basis of the ratified total cost estimate of the project after subtracting the amounts of capital from the following sources:

- The State budget;

- Financial assistance from domestic organizations and individuals;

- Aids from foreign organizations and individuals.

d/ The mobilization tempo, which is associated with the project�s implementation tempo.

2. The contribution levels set for respective subjects of mobilization, including those eligible for reduction or exemption, shall apply only after the majority of family heads reach the unanimity. The commune People�s Committee shall have to publicize the contribution levels, eligible cases of exemption or reduction as well as the reduction levels before organizing the mobilization.

Article 9.-

1. When the investment project is ratified, the commune People�s Committee shall have to set up the commune�s project management board. The project management board is composed of a head and members being members of the commune People�s Committee as well as other members concerned. The head of the project management board shall be appointed by the president of the commune People�s Committee after consulting and reaching agreement with the standing body of the commune People�s Council, the communal Fatherland Front�s Committee and other mass organizations of the same level. The project management board shall perform the following tasks:

a/ To organize and supervise the construction of the project in strict compliance with the ratified cost estimate, design and implementation tempo;

b/ To manage the project�s supplies, properties and investment capital;

c/ To make final account settlement of the project in time and in strict compliance with the regulations.

2. The communal Finance Board shall have to advise the commune on the project�s cost estimate, forms and levels of mobilization of people�s contributions, and take professional responsibility for the management and use of people�s contributions in strict compliance with the current stipulations of the State.

3. For communes facing with particular difficulties, the State shall partly provide investment capital for the construction of their infrastructure according to the Prime Minister�s Decision No.135/1998/QD-TTg of July 31, 1998. Where such a commune fails to meet conditions for the establishment of the project management board, a district-level project management board shall be set up to organize the management of each commune�s project(s) funded by the State support capital and people�s contributions. The head and members of the district-level project management board shall be decided by the president of the district People�s Committee after consulting and reaching agreement with the standing body of the district People�s Council, the district Fatherland Front�s Committee and other mass organizations of the same level.

Article 10.- The communes shall set up project supervision boards in order to supervise the process of mobilizing, managing and using people�s contributions.

1. The membership of the project supervision board shall be discussed and decided by the people and selected from among the representatives of the family households in the commune or possibly from among the representatives of the people�s inspection board, the Fatherland Front�s Committee, the War Veterans� Association, the Peasants� Association and other mass organizations of the commune.

2. The project supervision board shall have to comprehensively supervise all aspects and steps of the mobilization, management and use of people�s contributions for investment in the construction of projects; and supervise the after-test acceptance, hand-over as well as final account settlement of the projects in strict compliance with the regulations, for the right purposes and ensuring efficiency.

3. The project supervision board shall have to detect and promptly notify to the competent level for handling acts of violating the regulations in the process of organizing the mobilization, management and use of people�s contributions for investment in the construction of communal infrastructures.

Article 11.-

1. Basing him/herself on the ratified mobilization plan and levels, the president of the commune People�s Committee shall direct the village or hamlet heads to coordinate with the fatherland front�s working committees in villages or hamlets in mobilizing the people to contribute to the construction of the communal infrastructure projects.

2. The communal Finance Board shall have to receive and manage people�s contributions. If authorized by the commune People�s Committee, the village or hamlet heads shall collect people�s contributions in their respective locality and have to fully and promptly remit them to the communal Finance Board.

Article 12.-

1. People�s contributions may be mobilized in cash, kind or workdays. For contributions in workdays or kind, they must be converted into money at the time the contributions are made for the purpose of cost accounting, and must be managed and monitored separately.

2. The commune People�s Committee shall stipulate the conversion of people�s contributions in workdays and kind into money for cost accounting on the basis of the conversion plan which has been discussed and agreed upon by the people according to Article 7 of this Regulation, at the same time ensuring the compatibility with the local market prices.

3. In cases where the prices of kinds and/or workdays at the time of making contributions are higher or lower by 20% as compared with the projected prices, the involved communes shall have to rally people for discussion and agreement on the prices applicable to the conversion of such kinds and/or workdays which have been contributed by people. The organization of people�s discussions shall comply with the provisions of Article 7 of this Regulation.

4. During the collection of people�s contributions, the current regulations on commune budget�s accountancy invoices and vouchers must be strictly abided by. The communal Finance Board shall have to manage and remit fully and in time the collected amount into the commune�s account at the district-level State Treasury as prescribed.

Article 13.-

1. The management and use of people�s contributions for investment projects must comply with the State�s regulations and the ratified cost estimates.

2. The communal Finance Board shall have to open accountancy books to reflect and make cost- accounting of the process of collecting and using people�s contributions for the projects.

Article 14.-

1. Where the construction of infrastructure projects leads to the ground clearance and compensation therefor, the commune People�s Committee shall handle the cases according the following mode:

a/ If losses are little, it will persuade people to consider such losses their voluntary contributions to the projects.

b/ If the compensation amount is large, it must be concretely determined for inclusion into the project�s cost estimate, so as to calculate the mobilization levels or work out the plan on collections from the project-beneficiaries to offset the losses.

2. Expenses for bid invitation designing, appraisal organization and after-test acceptance (if any) of projects shall be accounted into the project�s value; thriftiness and financial publicity must be ensured.

Article 15.-

1. During the project construction, priority should be given to the employment of the commune�s labor and construction forces. The invitation of bidders and a bid shall be organized for contractors outside the commune only when the project requires high techniques and complicated construction, which cannot be undertaken by the commune�s construction force. The bid organization must strictly comply with the current regulations of the State.

2. For a project built by the commune itself, the project management board shall have to open a book for monitoring the details of all expenses for construction materials, workdays and number of operation hours of machines as well as other costs of the project.

Article 16.-

1. Upon the completion of the project and before its hand-over and commissioning, the commune shall have to organize the after-test acceptance of the project in accordance with the ratified design and cost estimate.

2. The after-test acceptance of the project must be supervised by the project supervision board and representative(s) of the Fatherland Front as well as its member organizations.

3. After accepting the project, the commune People�s Committee shall have to hand-over the project to its manager and user. The project must be used for the right purposes and there must be the annual plan and fund for the maintenance and protection thereof.

Article 17.- After the project has been accepted, the project management board shall have to make the project�s final account settlement in time as prescribed. The value of the final account settlement of the project must conform to the ratified cost estimate. The account settlement and final account settlement to the actual value exceeding the value of the cost estimate is strictly prohibited unless it is ratified by the competent agency.

The communal Finance Board shall have to make final account settlement of the collection and use of people�s contributions, calculating and determining the difference between the actual revenue and the actual expenditure for the project. The handling of the difference (if any) between the actual revenue and actual expenditure must be discussed and decided by the people according to Article 7 of this Regulation.

Article 18.- After making final account settlement of the project, the commune People�s Committee shall make reports on the collection, management and use of people�s contributions in order to publicize them to the people and at the same time send them to the district People�s Committee. Such reports shall include:

1. The financial report on the mobilization, use and management of contributions to the project. The report must fully reflect revenues and expenditures symmetrically, ensuring the strict compliance with the prescribed regime, accuracy and understandability;

2. The report on the execution of the estimated designing cost and the estimated construction cost of the project;

3. The report on the after-test acceptance of the project and the report on the evaluation of the project�s quality;

4. The report on the evaluation of the results of the use of capital mobilized for the project.

Article 19.- The commune People�s Committee shall have to make the financial publicity regarding the mobilization, management and use of people�s contributions for each project or project�s item by posting up at the commune People�s Committee�s headquarters and announcing at the direct meetings with the people.

Article 20.- The process of mobilization, management and use of people�s contributions for investment in the construction of communal infrastructures shall be subject to inspection and examination by the State functional agencies and supervision by the Fatherland Front Organization.

Article 21.- The president of the commune People�s Committee shall have to explain and reply the people�s questions and complaints as well as suggestions of the Fatherland Front�s Committee, the War Veterans� Association, the Peasants� Association, other mass organizations, the commune people�s inspection board and the project supervision board regarding the organization of the mobilization, management and use of the investment contributions for the commune�s infrastructure projects. The settlement of people�s complaints and/or denunciations must comply with the provisions of the current law and be effected within 10 days after receiving a complete dossier of complaint and/or denunciation.

Article 22.- Where people of the same village, hamlet, quarters or population community (of the same religion or bloodline) of the commune voluntarily organize the mobilization and management of investment in the construction of infrastructure projects in direct service of the village or hamlet population community�s interests, they shall not have to comply with the above-said regulations, but the commune People�s Committee shall have:

1. To guide and assist people in executing the investment plan, ensuring the general planning and avoiding show-offs; and, the mobilization must suit the local people�s average incomes and contribution capability.

2. To guide and assist people in undertaking technical measures as well as construction processes and procedures so as to ensure the project�s quality and beautiful look.

3. To guide the account settlement and final account settlement of the project and conduct the financial publicity; to draw up reports and send them to the higher superior authorities for acknowledgement and summing up of the people�s contributions for investment in the construction of the local infrastructure projects.

On behalf of the Government

Prime Minister

PHAN VAN KHAI